Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Art Bechhoefer who wrote (9366)	2/28/2000 11:30:00 PM
From: Ausdauer	Read Replies (2) \| Respond to of 60323

Art, I read the Barron's piece on palm computing devices. The memorable quote from the article was that the total sales of palm PC's to date are about equal to one good week of mobile phone handset sales. And it seems clear that there will likely be some hybrid device, likely manufactured by Nokia or Motorola, that incorporates the best features of a G3 cellphone with the PIM features of a Palm and the multimedia features of WinCE devices. I have no idea who will win or which OS will stand out from the crowd. The central technologies are reported as the WAP programming language, the Bluetooth wireless standard and the EPOC operating system over the CDMA backbone. It would not be unlikely that several proprietary OS's can survive or that the handset manufacturers agree on a single solution that best integrates the functionality to be offered. No matter how this shakes out I still see SNDK benefitting. As Eli said, SanDisk is refining the crude oil that will fill the tanks of every make and model, whether it be a Ford, a Chevy, a Yugo, a GM Gremlin, a Jaguar, or a VW bus. The Palm OS and the Palm Pilots themselves are just breaking into color screens and offer no multimedia function. I hardly see how this is going to make it over the long haul. Meanwhile there will be 23 million shares offered in an IPO this week that will bring the total shares to 570,000,000 or a market cap of $8 billion based on an offering price of only $15.00 per share. Some are anticipating the stock will rise several fold higher based on the current unreal multiples of competitors such as RIM (selling at 840 times estimated 2000 EPS) and Psion (selling at 400 times estimated 2000 EPS). SanDisk had a measely 33 1/2 million shares or so prior to the latest split. It stands to profit regardless of which company claws its way to the top of the palm computing scrap heap. Add a tincture of digital photography, a pinch of mp3 and a government contract here and there and I think it is easy to see our current market cap is a gross underestimation of the potential of SNDK. Ausdauer SanDisk...Simply Unforgettable